Punjab

StateCommission

CC/54/2014

Kawaljeet Singh - Complainant(s)

Versus

Multitech Towers Private Ltd. and another - Opp.Party(s)

Sandeep Arora & Deepak Arora

27 Feb 2015

ORDER

2^nd Additional Bench

STATE CONSUMER DISPUTES REDRESSAL COMMISSION, PUNJAB

DAKSHIN MARG, SECTOR 37-A, CHANDIGARH

 

Consumer Complaint No. 54 of 2014

 

                                                                      Date of institution:  19.3.2014

                             Date of Decision:   27.2.2015      

 

Kawaljeet Singh son of Late S. Sewa Singh, resident of House No. 1248, Phase-5, SAS Nagar, Mohali.

…..Complainant

 

                                      Versus

 

1. Multitech Towers Private Ltd., SCO 139-141, Sector 17C, Chandigarh through its Chairman/Managing Director.
2. Director, Multitech Towers Private Ltd., SCO 139-141, Sector 17C, Chandigarh

…..Opposite Parties

 

Consumer Complaint under the Consumer Protection Act, 1986.

 

Quorum:-

 

              Shri Gurcharan Singh Saran, Presiding Judicial Member

              Shri Jasbir Singh Gill, Member

 

Present:-

 

          For the complainant         :         Sh. Deepak Arora, Advocate with

                                                          Sh. Kawaljit Singh, In person

          For the opposite parties   :         Ex.-parte.

 

 

Gurcharan Singh Saran, Presiding Judicial Member

ORDER

The complainant has filed this complaint under the Consumer Protection Act (in short ‘the Act’) against the opposite parties (in short ‘the Ops’) on the allegations that the Ops released the advertisement regarding availability of the flats with them and allured by the said advertisement given by the Op, the complainant also applied for one of the flat in Sector 91, Mohali Multitech Towers. Initially the representative of the Company had quoted high price of the flat having super area of 2350 sq. ft. vide Apartment No. 58 in Tower-C but lateron with negotiations the aforesaid Company negotiated the price, which was fixed for Rs. 63,75,000/- and accordingly, he invested his life long savings in the aforesaid project. The complainant had paid a sum of Rs. 3,75,000/- as on 3.12.2010 i.e. 5% of the total price at the time of booking, a sum of RS. 7,50,000/- on 27.12.2010 and thereafter payment of Rs. 15 lacs as on 9.2.2011, Rs. 5 lacs as on 7.5.2011, Rs. 3 lacs as on 27.6.2011, Rs. 3 lacs on 7.9.2011, Rs. 5 lacs as on 3.11.2011, Rs. 5 lacs as on 10.12.2011, Rs. 5 lacs as on 18.9.2012, Rs. 8 lacs as on 6.12.2012. In that way, he has paid 95% of the amount and 5% remained, which was to be paid at the time of delivery of the possession. The progress regarding construction of the flat was very slow. The complainant had been sending various emails to the OP regarding the progress of their project. Although it was mentioned that they will give the possession within a period of 8 months of signing the agreement but in actual reality there appeared to be hardly any concern to complete the aforesaid project as the project was not making any headway. Even the complainant had tried his level best to persuade the Company to allot him any other flat in completed towers keeping his genuine needs and as per Clause 7 of the Agreement in case of non-completion of the apartment within time frame then the Company was liable to pay penalty and other charges to the complaint. In not completing the project the Ops are using the hard earned money of the complainant in an illegal manner. He had paid after borrowing Rs. 15 lacs from LIC Housing Finance and has to pay the interest on that amount. The complainants pay Rs. 11,000/- per month as a rent in case they would have shifted to this accommodation, they would have saved the rent. The deficiency has been alleged on the part of the OP, accordingly, the complaint has been filed on account of deficiency on their part not to deliver the possession within the time frame of 8 months and the complainants paying rent @ Rs. 11,000/- per month after November, 2011 and interest on the borrowed amount. Therefore, the directions be passed to the Ops to deliver the possession of the Apartment No. 58-C in Multitech Towers, Sector 91, Mohali as per agreement dated 12.2.2011 or in the alternative the Ops can be directed to deliver the possession of complete apartment in substitution of the aforesaid apartment in some complete project/Tower in order to curtail the physical and mental harassment. The Ops be burdened with exemplary costs, penalty and interest for retaining 95% amount of the complainant beyond the stipulated period. The rent paid by the complainant beyond the date fixed be also recovered from the complainant.

2.                The notice of the complaint was issued to the Ops. Sh. I.P. Singh, Advocate had filed Power of Attorney on behalf of OP Nos. 1 & 2 on 21.5.2014 but lateron on 10.7.2014 none appeared on behalf of the Ops, therefore, they were proceeded ex-parte.

3.                In the ex-parte evidence, the complainant tendered the following documents i.e. affidavit of Harinder Kaur Ex. C-A, affidavit of Kawaljeet Singh Ex. CB-A, advertisement Ex. C-1, e-mail Ex. C-2/1 to Ex. C-2/5, Buyer’s Agreement Ex. C-3, letter of LIC Housing Fin. Ltd. Ex. C-4, receipts Ex. C-5, letter dt. 6.7.12 Ex. C-6, letter dt. 12.7.12 Ex. C-7, letter dt. 4.8.12 Ex. C-8, mail dt. 8.9.12 Ex. C-9, mail dt. 7.11.12 Ex. C-10, mail dated 22.3.12 Ex. C-11, mail dated 16.12.12 Ex. C-12, mail dated 26.12.13 Ex. C-13, mail dated 14.1.14 Ex. C-14, mail dated 26.1.14 Ex. C-15, reply by complainant Ex. C-16, mail dt. 20.1012 Ex. C-17, photographs Ex. C-18 & 19, legal notice Ex. C-20, summary accounts Ex. C-21, copy of voter card Exs. C-22 & 24, identity card Exs. C-23 & 25, photographs Ex. C-26 to 29.

4.                The material documents is Buyer’s Agreement Ex. C-3 vide which the Ops had agreed to allot Apartment No. 58-C to the complainant for a sum of Rs. 63,75,000/- on 12.2.2011. Plan-B was given to the complainant to make the payment. It was construction linked scheme. He has referred to Clause 7(a) where it has been mentioned that possession was to be delivered within 8 months. The printed letter is 27 months but after cutting it has been made an 8 months but it is not initialled by any person and  then in the 5^th line again it has been mentioned as 27 months. In case the period would have been deceased as 8 months from 27 months then there should have been cutting in the 5^th line also but there is no such cutting in the 5^th line. Even otherwise it is a construction linked payment plan then it is not possible that Multi Storey Flats will be completed within a period of 8 months, therefore, we do not agree with the plea raised by the counsel for the complainant that project was to be completed and possession was to be delivered within a period of 8 months, therefore, we do not agree with the plea raised by the counsel for the complainant that project was to be completed and possession was to be delivered within a period of 8 months, rather it will be 27 months. To corroborate this fact that the possession schedule was changed from 27 months to 8 months, the complainant has not referred even in any correspondence made by him that the possession was to be delivered within 8 months as per the agreement. Therefore, the completion of the flat and delivery of the possession by the Ops will be taken as 27 months. In case the agreement was executed in February, 2011 then 27 months will be completed by May, 2013. Whereas the present complaint was filed in the month of 2.4.2014 but by that time also the Ops had not completed the project and delivered the possession. Photographs of the in-complete project has been placed on the record as Ex. C-26 to C-29, which shows that the project is still in progress. Further there was penal clause that in case the possession was not delivered within the stipulated period then the Ops will be liable to pay Rs. 5/- per sq. ft. per month. The payment other than 5% has already been paid by the complainant and only 5% is to be paid at the time of delivery of possession. Despite notice, the Ops have not come forward to contradict the plea taken by the complainant in their complaint, certainly, they have delayed the possession of the flat to the complainant for which they will be liable to pay the penal charges to the complainant.

5.                Apart from the possession, the complainant has sought the payment of rent made by him which he had to pay beyond the date of delivery of the possession. In case penal charges have been incorporated in the agreement itself, then the Ops cannot be burdened double to pay the payment of rent charges because the penal clause will cover the grievance of the complainant that he had to pay the rental charges for the period delayed for the delivery of the possession.

6.                In view of the un-rebutted evidence of the complainant, the complaint filed by the complainant is accepted with a direction to the Ops as under:-

(i)      deliver the possession of Plot No. 58-C, Multitech Tower, Sector 91, Mohali to the complainant within three months completed in all respect;

(ii)      pay penal charges according to Clause No. 7A of the Apartment Buyer Agreement dated 12.2.2011 beyond the period of 27 months and make adjustments with the balance and of 5% to be recovered from the complainant;

(iii)     pay Rs. 50,000/- as compensation on account of mental agony, harassment for not delivering the possession of the flat in time; and

(iv)    Rs. 11,000/- as litigation expenses.

7.                The Opposite parties are directed to comply with the above directions within 45 days, otherwise proceedings under Section 27 of the CP Act shall be initiated against them.

8.                The arguments in this consumer complaint were heard on 25.2.2015 and the order was reserved. Now the order be communicated to the parties as per rules.

9.                The consumer complaint could not be decided within the statutory period due to heavy pendency of Court cases.

 

 (Gurcharan Singh Saran)

Presiding Judicial Member

 

February 27, 2015.                                                    (Jasbir Singh Gill)

as                                                                                                Member